In a strategic move to sever ties with a state that has been a source of legal setbacks for Elon Musk, Neuralink Corp., Musk's brain implant company, has switched its business incorporation from Delaware to Nevada. The move was completed on Thursday, according to the office of the Nevada secretary of state and a notice sent to shareholders in the company.

Last week, a Delaware judge struck down Musk's $55 billion pay package for Tesla Inc., adding to the entrepreneur's legal challenges in the state. In response, Musk took to X, the social network he owns, advising founders against incorporating in Delaware.

The notice sent to shareholders informed them that their outstanding shares in the Delaware corporation would now be incorporated into outstanding shares in the Nevada corporation, as reported by Bloomberg.

Neuralink made headlines recently when Musk announced on Twitter that the company had successfully implanted a device in a human patient for the first time. The innovative technology developed by Neuralink aims to assist individuals with traumatic injuries in operating computers through their thoughts alone. Musk envisions a future where Neuralink's device will grant individuals the power to control various devices, including phones and computers, simply by thinking.

This isn't the first time Musk has made the decision to reincorporate one of his businesses outside of Delaware. In the past, he moved the incorporation of X (formerly Twitter) from Delaware to Nevada. This decision was driven by Nevada's corporate laws, which provide greater protections for executives against investor suits.

Interestingly, Tesla, which is now headquartered in Austin, Texas, was originally incorporated in Delaware back in 2003. However, Musk recently expressed his intention to shift Tesla's incorporation to Texas, which would require a shareholder vote.

Delaware has been the center of numerous legal disputes for Musk, given its reputation as the country's incorporation capital. With more than 70% of Fortune 500 companies being incorporated in the state, Delaware's chancery court judges are recognized as experts in business law and adept at handling high-profile cases on an expedited basis. Even foreign companies often opt for Delaware to resolve corporate disputes.

In the past, Musk faced legal challenges in Delaware, including a shareholder suit questioning his $2.6 billion acquisition of SolarCity, which was ultimately dismissed by a Delaware judge. However, his attempt to back out of the purchase of the social media platform, previously known as Twitter, was met with legal setbacks, including pretrial rulings by Judge Kathaleen St. Jude McCormick, who later dealt a blow to Musk's 2018 pay plan.

With Neuralink's shift to Nevada, Musk continues to navigate the ever-changing corporate landscape in pursuit of new opportunities while distancing himself from previous legal hurdles.